Which of the Following Are Disadvantages Claimed for the Stakeholder

question 37

Multiple Choice

Which of the following are disadvantages claimed for the stakeholder model of governance? Choose all that apply.

• A) Employees suffer financially as a larger proportion of funds are diverted to pay dividends.
• B) Growth and entrepreneurial activity suffers because there are fewer alternatives for raising finance.
• C) Without pressure from shareholders, projects may be adopted that lead to results that are below market expectations.
• D) Close monitoring of management makes it difficult for them to make decisions quickly.